WEBVTT - Single Best Idea with Tom Keene: Ed Yardeni

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<v Speaker 1>Bloomberg Audio Studios, Podcasts, Radio News, single best Idea and

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<v Speaker 1>we say good morning to you on a Monday after

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<v Speaker 1>an exhausting week, and I really want to shout out

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<v Speaker 1>here on Apple Podcasts, subscribe to The Big Take David

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<v Speaker 1>Gura providing leadership there on the politics of the moment.

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<v Speaker 1>David was on CNN with Caitlin Friday night and one

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<v Speaker 1>of the members of that really good conversation stop the

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<v Speaker 1>show and mention the value of the Big Take, producing

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<v Speaker 1>twenty minutes of conversation on themes. I know David's working

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<v Speaker 1>on an important view forward for America and Israel that

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<v Speaker 1>you'll probably see in the next twenty four hours, but

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<v Speaker 1>I can't say enough about The Big Take. The guest

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<v Speaker 1>quality is awesome. And when you have a group of

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<v Speaker 1>two the team members here at Bloomberg Surveillance working on

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<v Speaker 1>no sleep, usually it does better. Yes, a lot of

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<v Speaker 1>politics today, but it was a joy to visit with

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<v Speaker 1>Edward Yard Denny for an extended conversation. Ed Yard Denny

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<v Speaker 1>is iconic back to CJ. Lawrence and all of his

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<v Speaker 1>economics there who's out of Yale University and then iconic

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<v Speaker 1>at CJ. Lawrence decades ago, and he has been, as

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<v Speaker 1>you'll hear later, a permeable. He has been optimistic on

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<v Speaker 1>the American economic experiment, and was absolutely brilliant during one

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<v Speaker 1>about of gloom in October of two thousand, I believe

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<v Speaker 1>twenty two he just really called that well. I really

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<v Speaker 1>can't say enough about his short brief newsletter, the way

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<v Speaker 1>he writes in common sense. He extrapolates out optimism in

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<v Speaker 1>the roaring twenties. Dare I say Dow fifty thousand or

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<v Speaker 1>Dow sixty thousand.

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<v Speaker 2>I think we could get to sixty thousand by the

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<v Speaker 2>end of the year that we'red forty. It's not a

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<v Speaker 2>stretch to believe that over the remaining decade we could

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<v Speaker 2>get to sixty thousand. And I've got the S and

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<v Speaker 2>P five hundred going to eight thousand by the end

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<v Speaker 2>of the decades. So it's a bull market. Look just

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<v Speaker 2>take a look at a long term chart of the

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<v Speaker 2>S and P five hundred, and what you see is

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<v Speaker 2>that bear markets occur every now and then, but they

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<v Speaker 2>don't last very long, and that the fundamental trend of

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<v Speaker 2>the market is upwards along with the economy.

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<v Speaker 1>Ed jar Denny there, and of course part of that

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<v Speaker 1>is a concentration in these seven stocks and frankly other

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<v Speaker 1>stocks tangential to them. It's a question of AI. I

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<v Speaker 1>guess there's Apple intelligence, there's artificial intelligence, and your Denny

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<v Speaker 1>on how he partitions AI.

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<v Speaker 2>Well, artificial intelligence is certainly artificial, but I'm not convinced

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<v Speaker 2>all that intelligent. But I want to be very precise

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<v Speaker 2>about that. I think there's two versions of AI that

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<v Speaker 2>we need to consider. One is so called open AI,

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<v Speaker 2>and the other one is something that I would.

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<v Speaker 1>Call closed AI.

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<v Speaker 2>Open AI basically is open to all the information available

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<v Speaker 2>on the Internet, and as we know, there's a lot

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<v Speaker 2>of junk on the Internet, and open AI is going

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<v Speaker 2>to contribute to it. It's going to kind of start

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<v Speaker 2>making up some stories and some sources, and you know,

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<v Speaker 2>I mean, we can fact check the fact check it

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<v Speaker 2>along the way, but it's still going to be making

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<v Speaker 2>a lot of mistakes.

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<v Speaker 1>Bloomberg Technology, Caroline, they'll fact check you. Forward into Google earnings.

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<v Speaker 1>I really want to emphasize I was wrong. I thought

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<v Speaker 1>it was Friday. Paul Sweny tells me it's Tuesday, so

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<v Speaker 1>that we're going to really begin to see the mag

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<v Speaker 1>seven report. The first one was Google finally bonus round

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<v Speaker 1>and Yard Denny, who has been optimistic on the American experiment,

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<v Speaker 1>and I asked him about the value of studying those

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<v Speaker 1>fearful as a trout out notes of caution and gloom.

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<v Speaker 2>And I guess I've been accused of being a perma bull,

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<v Speaker 2>but I think that's a consequence of reading what the

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<v Speaker 2>perma bears are saying and just trying to provide some balance.

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<v Speaker 2>So if you provide some balance, you come out as

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<v Speaker 2>a perma bull. And again, if you look at the

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<v Speaker 2>long history of the stock market, makes more sense to

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<v Speaker 2>be bullish on a more often than bearish. But the

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<v Speaker 2>crew I think provides some very good, intelligent analysis of

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<v Speaker 2>what could possibly go wrong. And then I step in

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<v Speaker 2>and say, okay, well where might they be wrong?

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<v Speaker 1>And your Denny there of your Denny research, and I

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<v Speaker 1>can't say enough about his research notes very reasonably priced.

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<v Speaker 1>Look for them out on oh the internet and in

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<v Speaker 1>his website. Your Denny Research run Apple card Player and

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<v Speaker 1>Android Auto as well, and on YouTube. I want to

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<v Speaker 1>take a moment here. Somebody stopped me in the street

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<v Speaker 1>this weekend and said, how's it going, And I said,

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<v Speaker 1>we're like basically humble at this new digital experiment and

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<v Speaker 1>good morning to oh and Bloomberg eleven three to Oho

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<v Speaker 1>as well worldwide on traditional radio, but on YouTube, it's

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<v Speaker 1>don't think so. No one's on bing. But the answer

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<v Speaker 1>is you go out and you search YouTube Bloomberg podcasts

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<v Speaker 1>there it is. Subscribe to Bloomberg Podcasts for all of

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<v Speaker 1>We're on Apple podcasts as well. This is single best idea.